Decomposition of CO2 intensities from use of energy: case of Thai industry between 1981 and 2000

Industry consumes about 30% of total final energy demand in Thailand and is a major source of CO2 emission from energy use. CO2 emission from the industrial sector has increased as a result of high growth in energy demand. This paper analyses the changes in CO2 intensity arising from energy use over a period of 20 years (1981 to 2000) and identifies the factors affecting the changes using Log-mean Divisia decomposition technique. The analysis is carried out in four phases and the results indicate that although CO2 emission has more than tripled, the CO2 intensity has marginally declined if renewable energies are considered as carbon non-neutral (marginally increased in the other case). An increase in energy intensity and a switchover to carbon intensive fuel mix were two major factors affecting CO2 intensity adversely. During the economic crisis of 1996–1998 and its aftermath, CO2 intensity of industrial energy use declined marginally.

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